1. Field of the Invention
Embodiments disclosed herein relate generally to the field of user signup for a private account service provider over a network. More particularly, embodiments disclosed herein relate to the field of user signup for a private account service provider using a mobile phone.
2. Description of Related Art
Private account service providers over a network have proliferated in the past few years. Typically, signing up to become a user of a private account service provider involves providing detailed personal information from the user to the private account service provider. For example, in a first step the user may be prompted to provide a personal bank account number, and a routing number for that bank account. In a second step, the private account service provider may verify the validity of the information provided by the new user by performing a small deposit in the bank account provided, using the routing number. For example, the service provider deposits a small and variable amount into the bank account, by wire transfer. Once the deposit amount is verified by the user and the private account service provider, a new account may be opened for the user with the private account service provider. The drawback of the above approach is the long time it takes for a bank account to process and post a deposit made by wire transfer. Furthermore, although the wire transfer amounts to a small deposit, it is an up-front capital loss for the private account service provider. Accrued over a large number of new users, it may become a significant burden for the service provider, especially since these funds need to be readily available.
What is needed is a method for providing user signup into a private account service provider that is simple to operate, is highly secure, and reduces up-front expenses for a private account service provider.
These and other embodiments of the present invention will be described in further detail below with reference to the following drawings.
In the figures, elements having the same reference number have the same or similar functions.